STATE OF NEW YORK DEPARTMENT OF PUBLIC SERVICE

THREE EMPIRE STATE PLAZA, ALBANY, NY 12223-1350

Internet Address: http://www.dps.state.ny.us

PUBLIC SERVICE COMMISSION

WILLIAM M. FLYNN DAWN JABLONSKI RYMAN

Chairman General Counsel

THOMAS J. DUNLEAVY

LEONARD A. WEISS JACLYN A. BRILLING

NEAL N. GALVIN

Secretary

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October 19, 2004

Dear ESCO Representative:

Subject: Update on the Power to Choose Consumer Comparison Project

Approximately a month and a half ago, I sent a letter to all ESCOs notifying them of the Commission’s plan to develop a comparative chart of competitive offers for residential and small commercial consumers. The purpose of the project was, and remains, to expand consumer awareness and understanding of energy competition throughout the State, and to encourage them to contact participating ESCOs who have listed competitive offers and consider exercising their “Power to Choose.” Given the significant interest from consumers for this type of service, we are committed to launching this effort on November 5, 2004, with data as of November 3, 2004.

Once compiled, the plan is for this information to be provided on the Commission’s Web site (www.AskPSC.com), along with a message from Chairman Bill Flynn endorsing competition, and providing some key information and answers to the most important questions consumers have on choosing an ESCO. We will also be aggressively advertising the availability of the Power to Choose comparative chart.

To date, I would like to thank the many ESCOs who have responded favorably to our initial request. It is very important to provide specific price information (based on the prior month) and value added services (including renewable offers) in order to make this an effective tool, and be recognized as a 100% participant in consumer choice. Due to the concerns over the specific definition of small commercial customers (which varies by type of business and demand), the focus of the comparative chart at this time will be limited to residential electric and gas consumers.

Over the next two weeks, you will be contacted again by Mr. Michael Meath or Ms. Cathe Ruskey, who are working with the Commission to set up this comparison chart for residential consumers and gather the necessary information to accurately reflect the marketplace and the ESCO offers available. Those ESCOs who choose not to participate with specific pricing, unfortunately, will not be included in the chart.

I would encourage you to participate, and help us help you to promote the benefits of energy choice in New York State.

If you have any questions, please contact Alice Miller at (518) 474-2350 (); or me at (518) 473-0285 ().

Thanks for your continued cooperation with this important effort.

Ronald M. Cerniglia

Director

Office of Retail Market Development

cc: Utility Representatives

Michael Meath

Alice Miller

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